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Exhibit 3
Growth in Total Health Expenditure Per Capita, U.S. and Selected Countries, 1970-2008

Exhibit 3

Source: Organisation for Economic Co-operation and Development (2010), “OECD Health Data”, OECD Health Statistics (database). doi: 10.1787/data-00350-en (Accessed on 14 February 2011).
Notes: Data from Australia and Japan are 2007 data. Figures for Belgium, Canada, Netherlands, Norway and Switzerland, are OECD estimates.  Numbers are PPP adjusted. Break in series: CAN(1995);  SWE(1993, 2001); SWI(1995); UK (1997). Numbers are PPP adjusted. Estimates for Canada and Switzerland in 2008.

According to the 2010 statistics by the Organization for Economic Co-operation and Development (OECD), health spending is rising faster than incomes in most developed countries.   This raises questions about how these countries will pay for future health care needs.

The issue is particularly acute in the United States.  The health expenditure per capita was $7,538 in 2008.  The country not only spends much more per capita on health care than any other country, but also has had one of the fastest growth rates in health spending among developed countries.

The growth rate is usually measured by the percentage of gross domestic product (GDP).  In the United States, the health expenditure of GDP grew from 8.8% in 1980 to 15.2% in 2003, and keeps growing!

Despite this higher level of spending, the United States does not achieve better outcomes on many important health measures.  For example, type II diabetes, child obesity, cancer, etc. are on the rise.

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